(9A) for a Stock to Be in Equilibrium, That Is

question 66

Multiple Choice

(9A) . For a stock to be in equilibrium, that is, for there to be no long-term pressure for its price to depart from its current level, then

• A) the expected future return must be less than the most recent past realized return.
• B) the past realized return must be equal to the expected return during the same period.
• C) the required return must equal the realized return in all periods.
• D) the expected return must be equal to both the required future return and the past realized return.
• E) the expected future return must be equal to the required return.

---

Definitions:

Synaptogenesis

The process of synapse formation.

Brain Development

Refers to the process of growth and maturation of the brain over time, including changes in structure, function, and connectivity that occur from infancy through adulthood.

Myelination

The process of forming a myelin sheath around a nerve to allow nerve impulses to move more quickly.

Synaptic Pruning

A neurological process in which synapses (the connections between neurons) that are not used frequently are eliminated, leading to a more efficient synaptic organization.